Electric vehicle penetration in the country is likely to get delayed because of the Covid-19 pandemic as low affordability and the government’s priority on reviving the conventional automobile industry has moved the focus away from EVs in the interim, a research report said.
The sector also faces supply side risks as most of the components are sourced from China, which is the major global supplier for these vehicles.
The passenger vehicles (PVs) segment of e-mobility will face a double whammy as consumers would be wary of buying a costlier EV over an internal combustion engine (ICE) vehicle, while original equipment manufacturers (OEMs) would refrain from incurring high capex, India Ratings and Research (Ind-Ra) said in a statement.
